Tuesday, April 5, 2016

Common Sense

People normally do not appreciate things given to them. I
don't understand why so many people in government do not understand this common
sense notion. As soon as anything becomes an entitlement the quest begins for
the next freebie. These gifts are always short sighted and unsustainable.

A noble effort to get people into houses they could not
afford caused the near-collapse of the world economy. This collapse was caused
by the United States and every economy in the world is still struggling.
Washington politicians blame Europe for the slow recovery. Anyone that has
watched the world economy for the last fifty years knows the world cannot
possible recover until the United States recovers.

Corporations waste time and money by hiring consultants.
Supervisors, managers and higher executives often crush innovation because they
don't recognize the value of an idea. What corporations try to do is use ideas
they see as successful in other companies or in other sections of their own
corporation. The problem with this thinking is the individual with the original
idea has visualized a method for success. Without that vision and a concerned
person fighting for it, there is no success.

You may pass on an idea, but passing on a vision is
considerably more difficult. Handing off an idea to someone else for
implementation is a tremendous waste of effort. Corporate leaders pass ideas to
district managers who relay the ideas local managers. They in turn hand off the
idea to supervisors to issue to workers for implementation. All good
consultants know the problems companies and corporations face are due to
management decisions, but they usually don't get hired by pointing this out.

Small business owners normally think for themselves, because
they can't afford to waste time or money. Entrepreneurs are successful because
of hard work, an innovative idea or both. Timely decisions are essential for
success and profit margins are slim. A simple 5% increase in tax rate shuts
down some businesses and prevents others from starting.

There is a trend now to push for minimum wage increases for
people that add little to the profit of businesses. I like states making this
effort. It gives other states an opportunity to observe and see the results. If
the wage increases cause the state economy to improve or decline, other states
react to the circumstance. Watch for more robots replacing people.

Private sector labor unions were taught this lesson many
years ago. In order to keep a seat at the negotiating table, unions officials
have to keep demanding more. The result is fewer and fewer union workers in the
private sector. I have never understood why people can take company wages to
sustain and improve their family situation for 30 years, then retire and
complain about the company that paid them. Then, they praise the unions which
they paid to help decrease the number of union workers. Public sector unions
are driving most big cities in the country into bankruptcy. Want to guess who
gets the blame? The next Republican elected.

I am much against the federal government managing the
minimum wage. We cannot regulate or legislate our way to prosperity. Prosperity
normally happens when the government gets out of the way of business. Wages
increase naturally in two ways. Labor adds more value to the product or labor
is scarce creating a competition employers cannot ignore. The members of the
National Chamber of Commerce want a lot of immigrants that offer them cheap
labor and more customers. They found a president and congress that will honor
their wishes. The problem with this thinking is more people out of work and
decreasing wages. We are watching lack of common sense in action. We keep
supporting the people that are hurting us. We deserve what we get, because of
who we choose to elect. We can do better. We can do a lot better. Anyone seen
any common sense lately?